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Pestel Factors

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Submitted By Livvi92
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Assessment Record form and Marking Grid
FdA Hospitality/Tourism/Culinary Arts Management

Student name: Assessment No: Module Level: Module Tutor:
Olivia Hurworth 1 4 Birte Schmitz, Lekha Bharam
Module:
Assessment Method: Weighting: Date of submission:
Hospitality/Tourism/CA Environment Report 60% Refer to AR1 on Moodle
Length: 1,500 words
Learning outcomes assessed: • Define the Hospitality Industry in terms of size, scope and nature
• Evaluate current issues and topics relevant to the industry and apply the frameworks to evaluate the current issues affecting a known Hospitality environment
• Make recommendations for companies to gain competitive advantage

Skills Mapped: As listed in the course handbook.
Feedback
Assessment Criteria Weight
% Actual
% Strength Areas of Improvement
Explain factors that affect the Macro environment –Overview of the UK Hospitality/Tourism/Culinary Arts Industry in general and application to the chosen industry. 30%
Evaluate the impact of the past, current and future issues on a hospitality/tourism/culinary arts industry of your choice
30%
Make suggestions to the industry of your choice in relation to how they shou ld react to the current trends and contemporary issues and gain competitive advantage. 30%
Self – please see hand in guidelines for reports, essays and presentations below. 10%
Deductions: Late Submission
Total mark out of 100% 100%

Contents Page
1: Introduction; aims and objectives
2: Size and scope of the UK hospitality industry
3: The Michelin starred restaurant sector 1. Size and scope 2.Historic overview
4: PESTEL and the macro/micro environment 1. Past 10 years 2. Current 3. Future 10 years
5. Competitive advantage within the sector
6: Conclusion and recommendations
7. Bibliography
8. Appendices

Hospitality Management: Hospitality Environment
1. Introduction:
In this assessment I am going to be investigating the restaurant industry. More specifically; the Michelin starred restaurants. I will do this by using secondary data from websites, books and journals.
2. Overview of the UK:
The restaurant industry fits into the sector by FILL IN BLANKS. This is affected by two types of environment; the macro and micro environments. A macro environment is what is going on in the country. A micro environment is what is going on locally and around the business. These factors can all define how the business is run.
The size of the restaurant industry is huge with over 2 million people employed. This is approximately 1 in every 14 jobs within the UK. Over the past 30 years it has changed and evolved dramatically. This is now because people expect a lot more; in the terms of service and goods.
3. The Michelin starred sector: 3.1: The size of the Michelin restaurant sector is FILL IN BLANKS. 3.2: In the past 30 years the demand for quality restaurants has grown. People are becoming more aware of the products they consume and as such these restaurants which provide top quality, (usually locally sourced), fresh ingredients have become very popular. This in turn is linked to the service they expect when paying top end prices.
4: The PESTEL factors:
4.1: Past 30 years:
Factor P E S T E L
Smoking ban – This has affected our industry as within our establishments customers used to be allowed to smoke if they wished inside restaurants. This right was taken away in July 2007. At first many people then did not want to go out and eat or drink in public places as they felt this ruined the evening and they would rather be in their own homes.
Minimum wage/maximum workng hours – This was introduced in 1999 and affected the industry beacause this meant that employers could not get away with employing people to work excessivly long hours on an incredibly low wage. This worked well for employees as they had more time to spend any dsposable income they had. They also had a lot more disposable income due to the fact thy were being paid a decent wage.

4.2: The current issues: (2011-12)
Factor P E S T E L
Sustainability – Over the last few years everyone has begun to care about where their food is sourced. There have been nationa debates on fish sustainability such as Hugh’s Food Fight and WWF’s Smart Fishing Incentive. This has made people more aware on where the food they eat is from and wether there is enough to last.
The recession – This has affected the hospitality industry massively. This is because people are losing their jobs and as such have less disposable income to spend on going out to eat and enjoy themselves. This means less customers for our businesses and in turn less profit made.
Obeisity -
The London riots – These affected our local businesses as a lot of shops were targeted by looters. People did not want to leave the safety of their homes in fear of being targeted and possibly attacked by the rioters. This meant some employees could not turn up for work and those who would ususally go out to enjoy themselves rather stayed in and avoid becoming a casualty in the chaos surrounding them.

4.3: Possible future issues:
Factor P E S T E L

5. Competitive advantage:
This is an advantage over other companies offering customers either the same or similar products at a greater value. This could be a lower price or better benefits to buying that product or service. If the business has a product that is cheap and extremly hard to replace then that business will have a sustained competitive advantage over other businesses that are simillar in the area. (Laura, 2011).
A competitivte advantage may be aquired over a period of time by getting to know the other local businesses. This is often the best way to gain an advantage as you begin to know the local area and customers desires and then can react top that in a positive way.
The Michelin starred restaurants have gained this advantage by looking at the customers demands and reacting quickly and affectivley. They have acheived this
6. Conclusion and recommendations
7. Bibliography
Websites:

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